How did Warren Buffett Make Money Amid Trump’s Tariff War?

What was Warren Buffett's Biggest Investment Mistake?

3 Investment Lessons From 2024 Warren Buffett's Letter to Shareholders (And Full Text)

Billionaire Warren Buffett "swims against the current" in a bloodbath market

Buffett vs. The Tariff Turmoil: A Masterclass in Market Timing

When U.S. President Donald Trump reignited a global trade war in April 2025 by slapping reciprocal tariffs on Chinese goods, stock markets plunged into chaos. Nearly $5 trillion in global wealth vanished in 72 hours. The Bloomberg Billionaires Index recorded its fourth-largest single-day drop in history — and its worst since COVID-19.

Amazon’s Jeff Bezos lost $15.9 billion. Elon Musk, Trump’s unofficial adviser, saw $11 billion wiped off his net worth. Tech giants, banking titans, and industrial empires alike were hit hard.

But amid the carnage, one name stood tall.

Warren Buffett — the legendary “Oracle of Omaha” — not only avoided losses, he made billions.

Read more: Who is Warren Buffett: Biography, Personal Life and Net Worth

The $334 Billion Safety Net: Buffett’s Big Bet on Cash

According to filings and insider reports, Buffett began repositioning Berkshire Hathaway’s portfolio in mid-to-late 2024. He sold off $134 billion in stocks — including major chunks of tech and banking holdings — and moved the bulk of the company’s capital into short-term U.S. Treasury bills, amassing an unprecedented $334 billion cash reserve.

That move alone insulated Berkshire from the direct blow of the market collapse. While indexes plunged and investors panicked, Buffett’s cash hoard gained value in relative terms — giving him liquidity, security, and leverage.

In times of crisis, cash isn’t just king — it’s Buffett’s weapon of choice.

The Only Winner in a Billionaire Bloodbath

Here’s the chart: Warren Buffett stands out in green, showing a $12.7 billion gain, while all other billionaires suffered significant losses during the April 2025 market crash.

The Only Winner In A Billionaire Bloodbath. Source: Bloomberg Billionaires Index

Cutting Apple Loose Before the Fall

Buffett’s most strategic move? Quietly dumping two-thirds of Berkshire's Apple stake, once the crown jewel of his portfolio. The timing was impeccable. Just weeks later, Apple stock tanked 28%, dragged down by fears of Chinese retaliation and disrupted supply chains.

His other adjustments included reducing positions in Bank of America and Citigroup, both of which lost over 20% amid recession fears and declining consumer confidence.

As of April 2025, Berkshire Hathaway’s stock is up 9% year-to-date, while the broader market remains deep in the red.

How Buffett Read the Room — and Everyone Else Missed It

So how did Buffett see it coming?

It wasn’t luck. It was his core philosophy: value investing, patience, and contrarian thinking.

Buffett has long warned about market overconfidence and speculative excess. By late 2024, signs were flashing red — inflated tech valuations, rising interest rates, and mounting geopolitical tension with China. While others were still chasing momentum, Buffett was quietly preparing for the storm.

In essence, while most billionaires played offense, Buffett fortified his defense — and then waited.

Who Is Warren Buffett? The Billionaire Behind the Strategy

Born in Omaha, Nebraska, in 1930, Buffett began investing at the age of 11. A disciple of Benjamin Graham at Columbia Business School, he built his fortune through deep-value investing, patience, and an almost mythic discipline.

Now 94, he runs Berkshire Hathaway, a holding company owning major stakes in everything from insurance (GEICO) and railroads (BNSF) to consumer goods (Coca-Cola) and energy (Berkshire Hathaway Energy).

As of April 2025, Buffett’s net worth sits at $155 billion, tying him with Bill Gates and putting him ahead of Bezos and Zuckerberg.

Does Buffett Secretly Support Trump’s Tariffs?

While some speculate that Buffett supports Trump’s economic nationalism, Berkshire Hathaway has publicly stated that Buffett made no comment on the tariffs. Insiders say he remains politically neutral, preferring strategy over soundbites.

Still, all eyes are on Berkshire’s annual shareholder meeting on May 3, where he may finally break his silence.

Legacy and Philanthropy

Despite his immense wealth, Buffett is famously frugal — living in the same Omaha house he bought in 1958. He pledged to give away over 99% of his fortune, primarily through the Bill & Melinda Gates Foundation and The Giving Pledge, which he co-founded with Gates.

He’s also passed on his investing mindset to the next generation — with his children Howard, Susan, and Peter active in philanthropy and civic causes.

Conclusion: A Masterclass in Calm and Conviction

In an age of economic uncertainty, social media hype, and volatile leadership, Warren Buffett remains a beacon of timeless strategy. His moves during the 2025 tariff crash weren’t flashy, but they were flawless.

While others chased growth at all costs, Buffett played the long game — and won. Again.

FAQs: Warren Buffett, Tariffs, and the $12.7 Billion Power Play

How did Warren Buffett make money during Trump’s trade war?

Warren Buffett made $12.7 billion during the 2025 trade war by strategically selling off risky stocks and moving $334 billion of Berkshire Hathaway’s assets into short-term U.S. Treasury bills in 2024. When the market crashed following Trump’s tariff announcements, Buffett’s portfolio remained insulated, while others suffered massive losses.

Why did Buffett sell Apple stock before the crash?

Buffett reduced Berkshire Hathaway’s Apple stake by two-thirds in anticipation of increased volatility and geopolitical risks involving China. Apple, heavily reliant on Chinese manufacturing, saw its stock plunge by 28% after tariffs were announced. Buffett’s timing saved billions in potential losses.

What stocks did Buffett sell before the 2025 crash?

In addition to Apple, Buffett trimmed holdings in Bank of America and Citigroup, both of which were down over 20% following the market turmoil. His move away from vulnerable sectors reflects his trademark risk-averse, value-driven investing style.

How much cash is Warren Buffett holding in 2025?

As of early 2025, Berkshire Hathaway is sitting on a $334 billion cash reserve, the largest in its history. This cash pile is mostly parked in short-term U.S. Treasury bills — a strategy designed to preserve capital and allow for opportunistic investments during downturns.

Is Warren Buffett supporting Donald Trump’s tariffs?

While some speculate Buffett supports Trump's trade strategy, Berkshire Hathaway has officially stated that Buffett has made no public comment on the matter. He is expected to address it — if at all — during the Berkshire annual shareholder meeting on May 3, 2025.

What is Warren Buffett’s net worth in 2025?

As of April 2025, Warren Buffett’s net worth stands at $155 billion, making him one of the top three richest people in the world. This positions him ahead of Jeff Bezos and nearly level with Bill Gates, thanks to his gains during the 2025 market crash.

How old is Warren Buffett and is he still running Berkshire Hathaway?

Warren Buffett is 94 years old as of 2025 and remains Chairman and CEO of Berkshire Hathaway. While succession plans are in place — with Greg Abel set to take over operations — Buffett remains actively involved in major investment decisions.

What is Warren Buffett's investment strategy?

Buffett follows a value investing philosophy rooted in patience, discipline, and buying undervalued companies with strong fundamentals. He avoids speculative hype and focuses on long-term capital preservation and steady growth — a strategy that has consistently outperformed the market for decades.

What does Buffett plan to do with his wealth?

Buffett has pledged to give away over 99% of his fortune to philanthropic causes. He co-founded The Giving Pledge with Bill Gates and continues to donate billions annually, primarily through the Bill & Melinda Gates Foundation and family-led foundations.